Newsweek looked at the puzzling reaction to Fabrice Tourre’s testimony in front of the Senate hearings recently. What they found was that, rather than being seen as a villain, Torre’s “street cred” has actually gone up.
They interviewed 15 Wall Streeters at a local watering hole and discovered Tourre has emerged as a kind of hero to 20- and 30-something bankers and traders. They see him as a hero for masterminding Abacus 2007, Goldman’s portfolio of mortgage investments that were allegedly designed to go sour. The doubts he expressed about the scheme in emails only served to make him more human, more likeable. Many simply felt Tourre was doing his job as an investment banker … and doing it well.
Wall Street historians and B-school professors say that Tourre will probably land on his feet, with a sizeable salary. He’ll wrap up his leave of absence from Goldman on some beach and then will likely be snapped up by a hedge fund.
Ultimately, his story may serve to inspire more young people to be just like him. According to the Newsweek article, Tourre embodies the culture and swagger of the successful Wall Street banker or trader. He’s a real-life Gordon Gekko. The persona will continue to appeal to future “Fabulous Fabs” who want to land investment banking jobs and make piles of money.
What’s your take? Was Tourre simply doing his job to the best of his ability? Or does he represent an attitude on Wal Street that must change? Add your comments below.